GBP/USD retreats toward 1.3950 as USD rebounds


  • GBP/USD pauses the previous session’s gain on Friday in the Asian session.
  • US dollar rebounds toward 92.00 after hitting a one-month low.
  • The sterling gains on the hope that the BOE could be less dovish further due to a steady decline in coronavirus infections.

After testing a one-month high in the overnight session, GBP/USD pares part of its gains in the Asian trading session on Friday. The pair seems to be exhaustive near the 1.4000 mark but remained elevated.

At the time of writing, GBP/USD is trading at 1.3955 down 0.04% for the day.

The US Dollar Index (DXY), which tracks the greenback performance against its six major rivals, trades below gains some traction in the Asian trading hour, after it hit a one month low in the previous session.

The downbeat US data and the dovish Fed took a toll on the USD valuation. The US Gross Domestic Product (GDP) increased at 6.5% in Q1, well below the market consensus of 8.5%.

US Fed Chair Jerome Powell said on Thursday that the job market still had “ some ground to cover before it would be time to talk about tapering.

On the other hand, the sterling gains ground after the reports surfaced that UK scaped quarantine status for fully vaccinated EU and US visitors.

Meantime, the EU pauses legal action against the UK over the Northern Ireland (NI) protocol.

As for now, investors await the US Personal Spending and Income data, and Personal Consumption Expenditure Index (PCE) to take fresh trading impetus.

GBP/USD additional levels

GBP/USD

Overview
Today last price 1.3955
Today Daily Change -0.0004
Today Daily Change % -0.03
Today daily open 1.3959
 
Trends
Daily SMA20 1.381
Daily SMA50 1.3952
Daily SMA100 1.3924
Daily SMA200 1.3731
 
Levels
Previous Daily High 1.3982
Previous Daily Low 1.3898
Previous Weekly High 1.3787
Previous Weekly Low 1.3572
Previous Monthly High 1.4249
Previous Monthly Low 1.3787
Daily Fibonacci 38.2% 1.395
Daily Fibonacci 61.8% 1.393
Daily Pivot Point S1 1.3911
Daily Pivot Point S2 1.3863
Daily Pivot Point S3 1.3827
Daily Pivot Point R1 1.3994
Daily Pivot Point R2 1.403
Daily Pivot Point R3 1.4078

 

 

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